The Lambertville record. [volume] (Lambertville, N.J.) 1872-1968, 1887-04-13
SOME FALLACIEs IN REGARD TO THE
VALUE OF MONEY, RATE OF INTER-
EST, LABOR, LAND AND OTHER
" CAPITAL.
ny ROBERT K. romLrSsoS.
No. III.

No. III.
LABOR, LAND AND OTHER CAPITAL.
In country of free sales land has no
increase or return essentially different
from other capital. If the increased de-
mands of greater population cause II to
advance in value, such advance Is dis
counted, so far as human Judgment can
do it, by higher price or lower returns !;
just as decrease in value of buildings, ma
chinery, &C., is equalized with other CAPT
tai by higher returns. In fact the anxiety
to own land in our country has been so
intense, and the uncalculated labor be-
slowed upon it so great, that agriculture
has probably received lower returns
counting such increase--for the labor and
capital expended than any other occura-
ton. Hence, any scheme which seeks to
throw burdens upon land from which
other capital is exempt, is not only I'M
fair in theory, but would be highly un-
just in practice. But may not all capital
tend to acquire an unjust increase or
power over unendowed labors
As before, let us look at facts as they
really occur. In the earlier periods Of the
older States of our country, land sufficient
for farm could be acquired at the cost
of few years savings Of wages. Now
unimproved land must be either paid for
at high figure or secured at the cost of
long, expensive journey. Moreover, in
the earlier days of farming in this coun.
try few hundred dollars would stock an
ordinary farm. Now high. priced animals
and costly machinery frequently an
economic necessity rather than an econo.
mic GAIN swell the amount to almost as
many thousand dollars. In other occu-
pations the difficulties 10 the way of own
ers Of labor becoming wielders of capital
have increased in even greater degree.
Formerly few hundred dollars could es-
tablish and run at profit the pillow and
the wagon shop, the mill and the loom.
Now thousands and frequently hundreds
Of thousands of dollars are required in
costly equipments in order to compete
with profit in these and other manufac-
lures. We see then that all capital does
tend to acquire an unjust power or lever.
age In its contracts with labor, siace the
latter has a continually less easy alterna-
tive Of becoming Its own employer.
Asa consequence Of this lessened free.
dom Of labor, there is growing class in
our country who have not the his incen-
tives to mental and bodily exertion, and
to saving, that hopes of ownership alone
can give and whose indifference to i'm
provements In productive capital too fire..
quently degenerates into hostility. As q
consequence also of the lessensd savings
Of the industrial class, applied by them
selves directly to the basic industries of
the country, and the greater savings of
large capitalists applied oftener to specu-
lative enterprises, the latter tend to In
crease faster than the former, causing
panics and loss. As consequence again
of this immense waste, both Of human
productive power and of capital, the re-
turns of industry tend to decrease, as
shown by lower rates for capital conjoined
with nearly stationary wages and lower
profits or pay for uperintendence. In
fact, high rents and interest are generally
low to producers, who receive larger
share of the high returns of industry,
while low rents and interest are generally
high to the payers, who then receive q
smaller proportion Of the low returns Of
| industry.
But the fact which now concerns us Is,
| that the institution of private property,
while beneficial and necessary in the pre-
sent state of civilization, is like all human
institutions, the cause of evils which need
correction. How shall the decrease In
freedom of those born without inherit
ance, the loss of human invention and
energy, the waste of capita and the lower
returns to all classes, which its growing
uDjustness causes, be remedied? We
have seen that great and sudden in
crease of money would destroy it's useful
ness, that great and violent interference
In the rate of interest or of rent would
merely change payers Of interest back
ward into payers of rent, and payers Of
rent into workers for wages, and, lastly,
we have seen that blow strnck at pri-
vate property in land is, essentially and
in equity, blow struck at all private
property-an institution which is neces-
sity, or, at any rate, q determination Of
present society. But those who oppose
any interference by the government on
the above points commit three equally
obvious fallacies.
First, they err In assuming that that
paternal care which Is right and beneficial
in parent must be harmful In govern
ment. Principles are ever the same.
The best paternal care is that which best
fits children to care for themselves and
such care must be equally beneficial when
exercised by government to the i'm
provident children Of larger growth
WIZ Aofiu y tniko PVtstoh Va tuc o"SJs~sS
of every government. The despotisms
of Alfred Of England and Peter the Great
were redeemed by their paternal care In
elevating and lettering the condition Of
their subjects. A republican form of gov
eminent which merely aimed by brute
force to keep down anarchy would be
worse than barbarian. It's enforcement
from the divine principle of paternal gov
ernment would make 1t traly an Internal
government.
Second, these advocates of the let
alone " system err In reasoning that be-
cause great and violent interference by
the government, as indicated above, would
be evil, therefore gentle and moderate
leadings in the same direction would also
be harmful-forgetting that although the
scorching sun and deluge destroy, 1t is
4I..k II A.